Drug testing

Finding a Low Interest Debt Consolidation Loan

If you are in the market for a low interest debt consolidation loan, then you might think that you're out of luck. After all, aren't loans that consolidate your debt into a single monthly payment designed for people who have poor or bad credit?

What are the chances of someone like that getting a low interest debt consolidation loan? Depending on where you look for your loan and what collateral you offer, the chances might actually be quite good.

The keys to finding a low interest debt consolidation loan are knowing where to look for your loan and knowing what collateral to use for security.

With careful comparison of different lenders and a good value on your collateral, you stand a good chance of securing the low interest debt consolidation loan that you're looking for.

Interest and collateral

If you're just getting started on your loan search, you might not know what some of these terms mean. Interest is the amount that you're going to have to pay to the lender in addition to the amount that you borrow? it's how the lender makes their money.

Ideally, you'll be able to secure a low interest debt consolidation loan, which means that you'll have less interest added onto your monthly payment and will have less to repay.

Collateral is property that you use to secure the loan, and is usually an automobile or real estate. If you don't repay your loan, then the lender can take possession of your collateral and sell it in order to get their money back.

Where to look for your loan

One of the big factors in getting a low interest debt consolidation loan is finding the right lender. Many of the lenders with big, flashy advertising are trying to draw in customers and charge high interest rates? they should be considered only as a last resort.

Check with finance companies and small local banks first, especially during times when they're having any sort of customer appreciation days or a promotion of any kind. If they can't offer you a low interest debt consolidation loan, ask them if they can recommend another establishment? in most cases, they'll be able to direct you to a place where you can get a pretty good deal.

The right collateral

Choosing the right collateral can be vital to securing a low interest debt consolidation loan. After all, it's your collateral that's guaranteeing the loan for the lender? use it for all that it's worth. When applying for your low interest debt consolidation loan, ask for less than the total value of the collateral.

The greater the value of the collateral in relation to the asking amount, the more likely you'll be approved and charged a lower interest rate.

Shop around for quotes at several establishments before deciding on one? use the same collateral and the same asking amount, and see who offers you the lowest interest and the best terms for your money.

You may freely reprint this article provided the following author's biography (including the live URL link) remains intact:

About The Author

John Mussi is the founder of Direct Online Loans who help homeowners find the best available loans via the http://www.directonlineloans.co.uk website.

limousine chicago service
In The News:

Cheap Debt Consolidation Loans - Inexpensive Way of Winning Financial Freedom

The rising cost of living can force you sometimes to... Read More

Debt Consolidation ? Consolidate Your Student Loans Now!

The Federal student loan program has benefited thousands of college... Read More

Financial Aid - When Should I Apply For?

Many different types of financial aid are available to you... Read More

Free Yourself Of Debt and Worry with Debt Consolidation

Debt consolidation programs can help you lift the burden of... Read More

Are You Buried In Debt?

Are you having a problem paying your bills? Are you... Read More

Shocking Facts - What Debt Settlement Companies Dont Tell You

If you're thinking about using a debt consolidation or debt... Read More

Getting the Most Out of Consolidation Loans UK

Before letting too much debt or too many payments get... Read More

Debt and Bill Consolidation - Signs You Need To Consolidate Your Debt

If your debt is becoming difficult to get on top... Read More

Debt Relief From Debt Consolidation

If you are up to your neck in debt, there... Read More

A Simple Question We All Wonder - Are Debt Settlement Companies Scams?

Are debt settlement companies scams? It's a simple question so... Read More

Debt Consolidation Confusion

Learning about debt consolidation can be quite a confusing venture... Read More

Debt Consolidation Mortgage: Home Solutions for Integrating Arrears

Credit card debts, auto loans debts, secured loans debts, unsecured... Read More

What You Need to Know About Debt Consolidation

Debt consolidation is often a last resort for people who... Read More

Alternatives to Filing Bankruptcy

Deciding to file for bankruptcy is a decision that should... Read More

The Pros and Cons of Debt Consolidation Loans

You are swimming in debt. You have 4 credit cards... Read More

What Your Mama Never Told You About Debt Consolidation Services

When someone is extremely deep in debt, and he or... Read More

Bad Credit Debt Consolidation Loan

Nowadays, many people can get into a bad credit situation... Read More

Getting a Debt Consolidation Loan with Bad Credit

If you've ever tried to get a debt consolidation loan... Read More

Debt Consolidation with Free Government Grants? One Scam to Avoid

Have you ever seen a commercial or an ad promising... Read More

Perks and Pitfalls of Debt Consolidation

Whether you want to pursue debt consolidation in order to... Read More

Debt Consolidation Primer ? Four Things You Can Do to Get Out of Debt

Problem debt is rampant throughout America. In addition to mortgages... Read More

Planning To Become Debt Free With A Consolidation Loan

If you have multiple debts, and are struggling to meet... Read More

Consolidating Your Government Student Loans

A Consolidation Loan allows you to combine your federal student... Read More

Consolidate All Your Debt Into One Monthly Payment

Are you feeling overburdened with debt? Are you paying out... Read More

Re-Mortgages ? There?s Help For Bad Credit Ratings On The Way

As any report on the subject will reveal, million of... Read More